Solo Brands, Inc.

Good morning everyone and welcome to the Solo Brands fourth quarter and full year 2025 financial results conference call. All participants will be in a listen only mode. Should you need assistance, please send to a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star and then one on your touch tone telephones. To withdraw your questions, you may press star and two. Please also note today's event is being recorded. At this time, I'd like to turn the floor over to Mark Anderson, Senior Director, Treasury and Investor Relations. Please go ahead.

Thank you and good morning, everyone. We appreciate you joining us for the Solo Brands Conference call to review the 2025 fourth quarter and full year results. Joining me on the call today are the company's President and Chief Executive Officer, John Larson, and Chief Financial Officer, Laura Coffey. This call is being webcast and can be accessed through the investors portion of our website at investors.solobrands.com. Today's conference call will be recorded. Please be advised that any time-sensitive information may no longer be accurate as of any replay or transcript reading date. I would also like to remind you that the statements in today's discussion that are not historical facts, including statements about future financial and operating performance, liquidity and cash flows, covenant compliance, and strategic transformation goals, are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements, by their nature, are uncertain and outside of the company's control. Actual results may differ materially from those expressed or implied. Please refer to today's earnings press release for our disclosures on forward-looking statements. These factors and other risks and uncertainties are described in detail in the company's filings with the Securities and Exchange Commission. Solo Brands assumes no obligation to publicly update or revise any forward-looking statements. Management will refer to non-GAAP measures, and reconciliations to the nearest GAAP measures are included the end of our earnings release. We expect to file our Form 10-K in the coming days, which will include additional details on our financial results. Finally, the earnings release has been furnished to the SEC on Form 8-K. Now, I would like to turn the call over to the company's CEO, John Larson.

Thank you, Mark, and good morning, everyone. Thank you for joining us today and for your continued interest in Solo Brands. Laura and I will begin by reviewing progress on the 2025 initiatives and provide some initial commentary on 2026 before opening the call to analyst questions. Since stepping into the CEO role in 2025, first on an interim basis in February and permanently in June, we have focused on executing a product-led turnaround while building a structurally leaner, profit-driven business. While this transformation is still in its early stages, I'm encouraged by our progress simplifying the business, significantly reducing our cost structure, and generating positive operating cash flow for the third consecutive quarter. We believe that 2025 was a revolution and not a renovation, one defined by meaningful enterprise-level actions that position the company for the future. First, we reset the company's capital structure through a comprehensive refinancing. Our New York Stock Exchange listing was reinstated, and our ticker symbol was changed to SBDS. Building a durable platform for growth required a comprehensive reset of the business at the solo stove division. We started by repairing relationships with retail partners by introducing greater discipline in marketing, pricing, and promotional activity, while prioritizing cash flow and bottom-line profitability. At the same time, we accelerated and, in some cases, added new innovative products to SoloStove's product portfolio. Across Solo brands, we consolidated operations during the year and reduced our run rate SG&A by more than 30% with further actions planned for 2026. But this is not just a cost exercise. We are re-engineering how the company operates, elevating discipline, accountability, and decision-making across critical processes. In parallel work streams, we made strategic investments for the future across all of Solo Brands, building a strong pipeline of new product launches scheduled in 2025 that continues into 2026. Together, I believe these actions have repositioned the business with greater discipline, clarity, and a clear line of sight to profitable growth. In 2025, we delivered $317 million in net sales, introduced five new products, and maintained stable gross margins. While sales declined in the solo stove segment, Chubby's delivered more than 9% year-over-year growth, driven by solid online demand and growth in our strategic partnerships. We continue to build and scale omnichannel brands supported by a product pipeline with strong momentum and durability. Reflecting the strength of that innovation, one of our solo stoves, the all-new Summit 24 smokeless fire pit was recently reviewed by Forbes and named its best choice in the category for the year. The recognition underscores our team's dedication to innovative design, functionality, and high quality. If you recall, We reset our balance sheet in early 2025, which drove roughly $75 million of operational cash flows, primarily settling legacy accounts payable balances. Beyond the first quarter, we generated nearly $30 million in operating cash flow, delivering three consecutive quarters of positive cash generation. We believe this is clear evidence of a significantly improved operating model, anchored in a disciplined cost management and enhanced working capital management. We intentionally realigned pricing and promotional activity at SoloStove to reinforce pricing integrity and reset retail partnerships. While this significantly impacted near-term sales results, it established a more disciplined foundation to support current and future retail partnerships. We generated roughly $19 million of adjusted EBITDA for the year and delivered a 52% increase in fourth quarter adjusted EBITDA. underscoring the operating leverage in our model as these changes take hold. We are clearly product-led but disciplined in how we grow. Every launch must be margin-accretive, supported by pricing integrity and coordinated promotions with partners to drive long-term value to our customers. In February, we launched a new women's slim brand that we believe is a natural extension of Chubby's. Over the years, many of the women who bought Chubby's for the men in their lives began asking for swimwear built with the same confidence, personality, and attention to fit, but explicitly designed for women. Cheeky's is now sold through both direct-to-consumer channels and select retail partners. We believe it is important to keep the model intentionally simple, with a relentless focus on customer and partners, and the launch of products that matter, measured by profitability and cash generation. With that, I'll hand it to Laura for the financials.